Buy-to-Sell
Acquire below market value properties, then sell on for a profit. Lighter refurbishment than a full flip, focused on speed and profit margin rather than heavy renovation.
Typical ROI
15 to 25% ROCE
Timeline
3 to 9 months
Difficulty
Beginner
Key metric
Net profit
Strategy overview
- Find below market value properties at auctions, distressed sales, probate, or motivated sellers
- Conduct due diligence on title, condition, and exit value
- Complete light cosmetic works only if needed to support sale
- List with the right agent or buyer network and price for a quick exit
- Reinvest proceeds into the next deal
Advantages
- Generates lump sum capital rather than ongoing income
- No long-term tenant or management commitment
- Suits investors building deposit funds for hold strategies
- Returns realised within months rather than years
Considerations
- Market timing risk if values soften during the project
- No recurring income; you are only as good as your last deal
- Stamp duty and selling costs erode margin
Funding options
Bridging finance
Short-term lending up to 75% of purchase, repaid on sale.
Speed to completionCash purchase
Full cash deployment with no finance costs.
Strongest negotiationJoint venture funding
Partner provides capital for a profit share or fixed return.
Leverage other people's moneyIdeal property profile
- Below market value through distressed circumstances or auction
- Clean title with no significant legal complications
- Properties needing cosmetic refresh rather than structural overhaul
- Areas with strong owner-occupier demand for fast resale
- Off-market deals where vendor speed matters more than top price